Financial Decision Making

Financial Decision Making
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Executive Summary
This study-report is formulated for management of SKANSA Limited, taking into account
the organization 's financial data The role of accounts and finance functions within corporation
are addressed in the first section of this study. This also provides an overview of the accounting
and finance division's responsibilities and positions in the business. In second section of the
study, numerous ratios are measured for the corporation over two years utilizing information
from business's financial statements, and comments regarding the corporation's performance
from perspective of investor has been made.
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Contents
Executive Summary.........................................................................................................................2
Introduction......................................................................................................................................4
Main Body.......................................................................................................................................4
Task 1...............................................................................................................................................4
Accounting & Finance Overview...........................................................................................4
Accounting & Finance Department........................................................................................4
Accounting Department..........................................................................................................5
Finance Department:..............................................................................................................7
Task 2...............................................................................................................................................8
Ratio analysis of SKANSKSA PLC.......................................................................................8
Performance Evaluation of SKANSKA PLC.........................................................................9
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12
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Introduction
Accounting and finance are considered to be key aspects of an enterprise since they depict all
financial details. It primarily consists of business's financial statements, accounting information,
including multiple performance evaluation instruments that are used to determine a corporation 's
financial status in the related sector (Black, 2019). Accounting is primarily concerned with day-
to-day financial reports as well as information management of company concern, while finance
is concerned with the usage of those data in relation to an organization's potential growth
prospects using appropriate techniques and minimizing costs. In this regard SKANSKA PLC '
performance, which is one of the pioneering construction enterprises in United Kingdom, has
been analysed. Accounts and Finance division's functions of SKANSKA PLC has been analysed
in this study, including these division's roles and responsibilities in the organization. In addition,
a ratio study will be performed in attempt to assess the corporation 's performance in terms of
potential growth.
Main Body
Task 1
Accounting & Finance Overview
Accounting implies to process of tracking and maintaining business activities in
accounting records, while finance is process of managing money that flows in as well as out of
business entity. This is regarded as an essential component of enterprise that deals with financial
matters and is accountable for a firm's long-term growth.
To function effectively, SKANSKA PLC, being construction company, needs a substantial
financial investment as well as a sufficient investor pool. As a result, this particular segment is
critical to the corporation 's ultimate growth and expansion. Whether this is day-to-day operating
or capital-based activities, it's indeed critical to handle a corporation's finances in an acceptable
way for longer term. Multiple stakeholders in a business serve an important role in financing and
accounting concerns in order for the firm to attain financial as well as non-fiscal performance
(Çera and Tuzi, 2019).
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